2019 Cost-of-Living Adjustments on IRS Benefit and Contribution Limits
Author: Catherine R. Reese (Indianapolis)
Published Date: November 5, 2018
On November 1, 2018, the Internal Revenue Service (IRS) announced the cost-of-living adjustments affecting tax-qualified pension plans for 2019. Most of the general pension limitations, including the limit on annual compensation that can be taken into account and the individual limits on elective deferrals and annual contributions, will increase based on the cost-of-living index. The individual limits on catch-up contributions for participants age 50 and over will not change for 2019. In the following table, we have listed some of the key limits that will continue to affect tax-qualified pension plans, including those that will increase for 2019 and those that will remain unchanged:
Ms. Reese concentrates her practice in employee benefits. She works with employers to design, establish and administer qualified retirement plans (defined contribution, defined benefit, cash balance), welfare benefit plans, and nonqualified deferred compensation plans. She assists clients in complying with statutory and regulatory requirements for reporting and disclosure, testing, and corrections for benefit plans, as well as assisting with IRS, DOL and PBGC filings, audits, and queries. Ms....